Exhibit 10.26
AMENDMENT NO. 1 TO SECURITY AGREEMENT
This Amendment No. 1 to Security Agreement (this "Amendment") is made and
entered into as of October 8, 2003, by and between Safety Components
International, Inc. ("Grantor") and KeyCorp Leasing, a division of Key Corporate
Capital Inc. ("KCL"). Capitalized terms used but not defined herein shall have
the meanings provided in the Agreement (as defined below).
RECITALS:
WHEREAS, Grantor and KCL have previously entered into that certain
Security Agreement dated July 10, 1998 (the "Agreement") in connection with that
certain Master Equipment Lease Agreement dated as of July 10, 1998;
WHEREAS, Grantor and KCL desire to amend the Agreement to reflect the
understanding of the parties as to the Collateral (as defined below) in which
Grantor has granted a security interest to KCL;
NOW THEREFORE, in consideration of the mutual covenants and agreements
contained herein and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto, intending
legally to be bound, agree to amend the Agreement as follows:
1. Section 2 of the Agreement shall be deleted in its entirety and the
following inserted in place thereof:
"(2) Grant of Security Interests. Grantor hereby grants to KCL a
security interest in all of Grantor's right, title and interest in and to
the equipment identified on Schedule 1 attached hereto (the "Collateral").
2. The clause "and all of Grantor's existing and future obligations owed
to KeyBank," in Section 3 shall be deleted in its entirety.
3. The second sentence of Section 5.1 shall be amended by deleting the
phrase "subject only to the lien of KeyBank."
4. Section 8.2 shall be amended by deleting the phrase "and the security
interest in favor of KeyBank."
5. On and after the date hereof, each reference in the Agreement to "this
Agreement", "hereunder", "hereof", "herein" or words of like import referring to
the Agreement shall mean and be a reference to the Agreement as amended by this
Amendment.
6. This Amendment may be executed in any number of counterparts, and by
different parties hereto in separate counterparts, each of which when so
executed and delivered shall be deemed an original, but all such counterparts
taken together shall constitute but one and the same agreement. This Amendment
shall become effective upon the execution of a counterpart by the parties named
on the signature page hereto.
[Signatures Appear on Following Page]
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IN WITNESS WHEREOF, the parties hereto have entered into this Agreement as
of the date first written above.
GRANTOR:
SAFETY COMPONENTS
INTERNATIONAL, INC.
/s/ Xxxxxxx Xxxx Xxxxxxx
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Xxxxxxx Xxxx Xxxxxxx
Treasurer
SECURED PARTY:
KEYCORP LEASING, A
DIVISION OF KEY
CORPORATE CAPITAL INC.
/s/ Xxxxxx X. Xxxxx
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Name: Xxxxxx X. Xxxxx
Title: Vice President
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